Stanley Black & Decker to acquire IES Attachments business for $690M in cash
Stanley Black & Decker announced that it has entered into a definitive agreement to acquire International Equipment Solutions Attachments Group, or IES Attachments, for $690 million in cash. IES Attachments is a manufacturer of high quality, performance-driven heavy equipment attachment tools for off-highway applications, with leading brands such as Paladin, Genesis and Pengo. Approximately 60% of the $400 million in LTM revenue is related to aftermarket applications. With the addition of IES Attachments, Stanley Black & Decker will operate a broad portfolio of attachment solutions and a meaningful platform for continued organic and acquisitive growth. The agreement excludes the IES cabs business sold under the Crenlo and other brand names. The acquisition, which will be integrated with the Hydraulic Tools business within the Industrial segment, will be modestly accretive to Stanley Black & Decker's EPS in 2019, and accretive to EPS by approximately 25c-30c by year three, excluding charges. The transaction, which is subject to customary closing conditions, including receipt of required regulatory approvals, will be funded with available cash and proceeds from borrowings.